UK's Allied Carpet Restructuring Business

Orpington, UK, July 17, 2009--Allied Carpets has gone into administration, as the stagnating housing market led to a fall in demand for carpets and flooring.

But 51 of its 217 stores and its insurance business have been sold, saving 400 jobs, administrator BDO Stoy Hayward said.

All stores are conducting business as usual and pending customer orders will be fulfilled in all stores, it said.

Deposits are safe but anyone with questions should contact a local store.

Dermot Power, business restructuring partner at BDO, said that, like many companies, Allied Carpets had suffered in a difficult sales environment.

"The stagnation of the housing market has meant that fewer people are buying carpets and flooring," he said.

"We are currently working to secure a going-concern sale of the remaining stores in the Allied Carpets portfolio."